Finding fulfilling accounting work with fair compensation can be challenging for professionals in South Dakota.
This article explores accounting salaries in South Dakota in depth, providing key insights into pay ranges across roles to empower negotiations.
We examine specialty areas with strong outlooks, software skills in demand, comprehensive benefits beyond base pay, job market trends, cost of living considerations, and proven techniques to advocate for your value during discussions of salary and total rewards.
Introduction to Accounting Salaries in South Dakota
Accounting is a stable and essential career field across industries. As businesses and organizations in South Dakota grow, the demand for qualified accounting professionals continues to rise. This section provides an overview of key accounting roles, salary ranges, and cost of living considerations for accountants in South Dakota.
The average salary for an accountant in South Dakota is $62,000 per year. This aligns with national trends, as the average US salary for accountants is $63,000. Entry level roles like Staff Accountants and Accounting Assistants in South Dakota earn approximately $40,000 to $50,000 annually. More advanced positions like Controllers, Financial Analysts, and Tax Managers can earn over $100,000 per year.
South Dakota features a low cost of living compared to national averages, making it an affordable place to build an accounting career. The state also touts economic growth and financial stability. Mount Rushmore and the scenic Black Hills attract tourism revenue. Top industries like agriculture, manufacturing, healthcare, and retail provide steady accounting jobs across the state.
With high demand and competitive salaries for accounting professionals, South Dakota offers a promising outlook. Understanding the salary ranges and growth potential allows both businesses and job seekers to make informed decisions.
Which field of accounting makes the most money?
Some of the highest paying accounting jobs include:
Corporate Controller
The corporate controller oversees the company's accounting operations and financial reporting. They manage a team of accountants and ensure that all financial records comply with regulations. According to the Bureau of Labor Statistics, the average salary for a corporate controller is $95,600 per year.
Chief Financial Officer (CFO)
The CFO is the highest ranking financial executive at a company. They analyze financial data to guide business strategy and make recommendations to the CEO. CFOs enjoy an average salary of $136,100.
Investment Banker
Investment bankers help companies and organizations raise money through issuing and selling securities. They provide financial advisory services on large mergers, acquisitions, and other complex transactions. The average pay for an investment banker is $100,600.
Accounting Professor
Accounting professors work in academia conducting research and teaching undergraduate and graduate accounting courses. Professors earn good salaries, with an average income of $77,400 according to the Bureau of Labor Statistics.
So in summary, CFOs and corporate controllers are among the highest paid accounting professionals. They earn well above the average salary for accountants. Investment banking also offers lucrative payouts for those with an accounting background. Teaching in academia provides a more modest but still comfortable salary.
How much do staff accountants make in South Dakota?
Staff accountants in South Dakota earn competitive salaries, with ample opportunities for career advancement. Here's a breakdown of common accounting roles and salary ranges:
Annual Salary
- Top Earners (75th Percentile) - $78,500
- Average Salary - $62,137
- Entry-Level (25th Percentile) - $53,500
Hourly Wage
- Top Earners (75th Percentile) - $38
- Average - $30
- Entry-Level (25th Percentile) - $26
Salaries can vary depending on factors like:
- Location within South Dakota
- Years of experience
- Size of company
- Industry specialization
For example, accountants in the Sioux Falls area may earn 10-15% more than the state average. Senior accountants or those with specialized expertise (e.g. cost accounting) also command higher compensation.
Overall, South Dakota presents solid earning potential for accountants at all levels while maintaining a low cost of living compared to coastal states. Rapid business growth in Sioux Falls and other metro areas continues to drive demand for qualified accounting talent.
What is good pay in South Dakota?
The average salary in South Dakota is $39,988 per year or $19.23 per hour according to recent data. This positions the state on the lower end for average wages nationally. However, salaries can vary significantly depending on the industry, location within the state, and experience level of the employee.
Entry level accounting positions like Accounting Clerks or Accounts Payable Associates typically start between $31,000 and $37,000 per year. More experienced plant controllers, senior accountants, or accounting managers can make upwards of $70,000 to $90,000 per year once they have 5+ years of experience.
Some of the highest paying accounting jobs in South Dakota are:
- Plant Controller: $84,957 per year
- Senior Financial Analyst: $77,574 per year
- Budget Analyst: $68,921 per year
- Accounting Manager: $68,338 per year
It's also worth noting that South Dakota has no state income tax. So net pay tends to be higher than similarly paying jobs in other states.
The cost of living in South Dakota is about 10% below the national average as well. This allows salaries to stretch further when it comes to covering housing, food, transportation, and other living expenses.
In summary, while average pay in South Dakota may seem low compared to coastal states, the low cost of living and tax advantages allow residents to live comfortably on accounting salaries ranging from $35,000 to $90,000 per year.
What is the highest paying state for accountants?
According to the Bureau of Labor Statistics, the highest paying state for accountants is the District of Columbia, with an average annual salary of $105,000. New York and New Jersey follow closely behind, with average salaries around $100,000 per year.
Some key factors that contribute to the high salaries for accountants in these areas include:
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High cost of living: The DC metro area and the New York City and northern New Jersey regions have very high costs of living. Accounting salaries tend to be higher to compensate.
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Concentration of large companies: Major corporations tend to be headquartered in big cities and surrounding suburbs. They offer lucrative salaries to attract top talent.
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Specialization opportunities: Large metro regions with bustling business communities provide more opportunities for accountants to specialize and advance in higher paying roles.
So while the beautiful Black Hills and Mount Rushmore make South Dakota a popular tourist destination, accountants looking to maximize salaries may want to head east. The DC metro region offers the highest paycheck potential for number crunchers. Of course, cost of living is a key factor to weigh when considering salaries.
Exploring Accounting Roles and Salary Tiers
Entry-Level Staff Accountant: Starting Your Career
Entry-level staff accountants in South Dakota can expect an average starting salary of $45,000. This role involves assisting with day-to-day accounting operations such as preparing financial statements, recording transactions, and supporting the month-end close process. It's an excellent way to gain foundational accounting experience. With 1-3 years of experience, staff accountants may see salaries rise to $55,000 and will take on more responsibilities such as reconciliations, variance analysis, and special projects. There's room for advancement to senior accountant within 3-5 years.
The Journey from Accountant I to Accountant V
The accounting salary grading scale in South Dakota progresses from Accountant I to Accountant V. Accountant I earns approximately $50,000 on average while Accountant II sees a bump to $60,000. At the Accountant III level, pay increases to $75,000 with lead responsibilities over small teams and processes. Accountant IV takes on supervisor duties and earns around $95,000. Finally, Accountant V acts as an accounting manager with a salary of $115,000. Experience, credentials, specialized skills, and company size can impact salaries within each tier. Larger firms tend to pay more, as do roles requiring CPA certification.
Specialized Accounting Roles: Plant and Investment Accountants
Beyond the general accounting track, specialized roles exist with their own salary considerations. Plant Accountants earn approximately $70,000 supporting manufacturing operations. They analyze production costs, oversee inventory, and ensure adherence to budgets. Investment Accountants manage investment portfolios and prepare performance reports for $80,000 in salary on average. These specialized positions require targeted skills and accounting knowledge.
Senior Positions: From Plant Controller to Financial Reporting Accountant
At the senior level, Plant Controllers in South Dakota earn around $120,000 overseeing all financial operations of manufacturing plants. They manage multiple accounting teams with a strategic outlook. Financial Reporting Accountants prepare external financial statements and filings for $100,000 in total comp. They ensure compliance with accounting standards and regulations. Senior accountants demonstrate advanced technical know-how combined with leadership abilities.
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Accounting Software Proficiency and Its Impact on Salaries
Essential Accounting Software Skills for South Dakota Accountants
Expertise with accounting software is one of the most valuable skills for accountants in South Dakota. Proficiency with software like QuickBooks, Xero, Sage Intacct, and NetSuite can increase an accountant's salary by 10-15%. These programs are used by over 80% of small and mid-sized businesses in the state to manage tasks like general ledger accounting, payroll, billing, financial reporting, and more.
Accountants who obtain certifications in accounting systems see greater demand. For example, a Certified QuickBooks ProAdvisor with 3-5 years experience can earn $15,000-25,000 more than accountants without this expertise. As more organizations adopt cloud-based accounting platforms, specialized skills translate into higher salaries.
Year-End Close Expertise: A Valuable Skillset
Accountants proficient in year-end close procedures are highly-valued in South Dakota. Most companies require detailed financial statements at year-end for tax filings and compliance. Expertise in consolidating accounts, evaluating accruals, reconciling statements, and preparing financial reports can increase salaries by 20% or more.
Junior accountants with 1-2 busy seasons of year-end close experience under their belt gain a significant edge over entry-level candidates. Plant controllers and investment accountants who oversee entire company close processes command premium salaries, often earning over $100,000 in South Dakota's major metro areas. As year-end deadlines always loom large, this niche expertise directly translates into higher pay.
Comprehensive Benefits for South Dakota Accountants
South Dakota offers competitive salary and benefits packages to attract top accounting talent. This section reviews the full range of compensation available.
Salary and Benefits Package: A Holistic View
The base salary is just one component of an accountant's total compensation. A comprehensive benefits package can increase an employee's earnings by 25-40%. Common components include:
- Health Insurance: Companies typically cover 50-80% of medical, dental, and vision premiums for employees and their families. High-deductible plans with health savings accounts (HSAs) are also popular.
- Retirement Plans: 401(k) matching contributions range from 3-6% of salary. Some firms offer profit-sharing plans or pensions.
- Paid Time Off: Accountants average 10-25 vacation days, 6-10 sick days, and 10 paid holidays per year. Parental leave is becoming more common.
- Work Arrangements: Options like remote work, flexible schedules, and reduced hours appeal to accountants seeking better work-life balance.
- Tuition Reimbursement: Many firms offer $2,000-$5,000 annually to advance careers with accounting certifications or advanced degrees.
- Performance Bonuses: Annual bonuses from 5-15% of salary reward productivity, retention, and firm growth.
Carefully evaluating the complete compensation package is essential when comparing job offers as an accountant.
Understanding Pay Strategy and Pay Equity in Accounting
Developing a fair, equitable pay strategy is crucial for attracting and retaining top talent in accounting long-term. Key considerations for firms include:
- External Competitiveness: Match or exceed pay rates for similar roles in the regional industry. Firms that pay below market risk losing talent.
- Internal Equity: Ensure consistent pay differences between jobs based on required credentials, skills, effort, and responsibilities.
- Pay Transparency: Clearly communicate pay ranges for roles, bonus structures, and advancement opportunities. Pay secrecy risks mistrust.
- Individual Factors: Base pay on merit, not demographics. Regularly review for gender, race, or other pay gaps and adjust appropriately.
- Location Considerations: Account for cost of living differences. Salaries may need adjustment for rural areas or major metros.
- Total Rewards: Look beyond base pay to bonuses, retirement plans, leave, flexibility and other perks that enhance retention.
Getting pay strategy right is well worth the investment for the long-term success, productivity, and profitability it brings.
Accounting Job Market Dynamics in South Dakota
South Dakota's accounting job market offers unique opportunities influenced by the state's economic landscape. As a smaller state, personal connections and networking play an important role. However, growth in certain industries is driving demand for specialized accounting roles.
Mount Rushmore State's Accounting Job Landscape
With under 1 million residents, South Dakota has tight-knit professional communities. Accountants often gain opportunities through local networking and connections. The state economy relies heavily on agriculture and tourism. Mount Rushmore, the Black Hills, and Badlands National Park draw visitors for outdoor recreation. At the same time, farming and ranching drive exports. As a result, specific accounting experience in grants, property management, and agriculture is valuable.
Regional firms and small businesses have significant hiring needs for core accounting functions like AP/AR, payroll, reporting, and more. Larger corporations focus accounting jobs in Sioux Falls and Rapid City. However, most jobs remain with smaller companies or nonprofits tied to leading industries. With niche specializations, accountants can find abundant openings without needing to relocate out of state.
Emerging Opportunities for Grants and Property Management Accountants
As South Dakota aims to attract more technology and manufacturing while expanding tourism, certain accounting specialties are in high demand. In particular, grants accountants help companies secure public and private grant funding for new initiatives and expansion projects. Their expertise in regulations, reporting, and compliance is vital for growth.
Additionally, property management accountants have increasing opportunities with hospitality, real estate investment trusts (REITs), and property developers. As tourism expands hotel and attraction investments, accountants oversee assets, budgets, taxes, insurance, and more for commercial properties. Their specialized skills in fixed asset accounting and hospitality accounting translate across various industries as well.
With niche experience in grants, property accounting, agriculture, or other targeted specialties, accountants can leverage South Dakota's tight hiring networks for advancement while avoiding relocation. Specialized skills also enable remote work arrangements with firms based in other states. Overall, despite a small population, South Dakota offers growing possibilities for accountants with the right expertise.
Adjusting for the Cost of Living in South Dakota
The cost of living in South Dakota can vary significantly depending on which part of the state you live in. Here is a breakdown of how salaries for accounting professionals may need to be adjusted in some of the key metro areas:
Sioux Falls
As the largest city in South Dakota, Sioux Falls offers a relatively low cost of living. Housing prices are quite affordable, with a median home value around $195,000. However, prices have been rising rapidly in recent years. Overall, accounting salaries in Sioux Falls may not need too much adjustment compared to national averages.
Rapid City
Located near the Black Hills and Mount Rushmore tourist destinations, Rapid City is a mid-sized metro with lots of economic activity. However, it remains an affordable place to live. Median home values are around $214,000. Accounting professionals may find they can stretch their salaries further in Rapid City than other parts of the country.
Aberdeen
Smaller towns like Aberdeen have very low costs of living, especially for housing. With median home values of only $145,000, accountants may be surprised at how far their paychecks can go. Salaries for accounting roles do not need large COL adjustments.
So in summary, South Dakota offers accountants very affordable living, especially in smaller metro areas. While salaries may seem lower than the national average, adjusting for taxes, housing and other costs show the state can be a great place for accounting professionals to launch their careers.
Negotiating Your Accounting Salary in South Dakota
Leveraging Cost of Living for Salary Negotiations
The cost of living in South Dakota is approximately 8% lower than the national average, making it an affordable place to live and work. As an accountant exploring job opportunities in the state, you can use this to your advantage during salary negotiations.
When a potential employer provides a job offer, research the average salary for similar roles in the area. Then highlight how South Dakota's lower cost of living means the proposed salary would stretch further compared to other parts of the country. Politely emphasize that you can maintain the same standard of living on a lower salary in South Dakota than you could in places with a higher cost of living. This allows you to make a case for a salary at the higher end of the pay scale for the role.
You can also benchmark salaries using online tools and aim for a salary that aligns with your experience level and credentials. With South Dakota's affordable housing, transportation, utilities, and tax rates, you may find employers more willing to meet your number. Just be sure to back up your request with relevant market research.
The Role of Pay Strategy in Salary Discussions
When negotiating salary as an accountant in South Dakota, it helps to understand the company's overall pay strategy. Larger corporations often have formal salary banding in place, with strict guidelines around pay ranges for certain roles and experience levels. Smaller companies may have more flexibility.
Prior to your discussion, research the employer's compensation structure if possible. This gives you insight into where you stand relative to their existing accounting staff. It also helps frame reasonable salary expectations aligned with their pay bands.
If the initial offer seems misaligned with your experience, highlight why you are an exception that warrants consideration for higher pay. For example, if you have specialized expertise in relevant accounting software. Quantify how this would benefit the company and support a salary above their defined range.
Approaching negotiations informed on the employer's pay strategy makes your case stronger. It also shows you've done your homework on their organization. While pay bands create boundaries, a strategic approach gives you the best shot at an accounting salary reflective of your abilities.
Conclusion and Key Takeaways
Accounting salaries in South Dakota offer competitive compensation compared to national averages. Key highlights include:
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Entry-level accountants earn approximately $45,000 per year on average. This rises to $75,000 for managers and over $100,000 for controllers and CFOs.
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Strong growth is projected for accounting roles over the next decade as businesses expand across the state. This increased demand may place upward pressure on wages.
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Top firms provide attractive benefits packages on par with national leaders, including health insurance, 401k matching, profit sharing, tuition reimbursement, and ample time off.
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South Dakota's low cost of living enables accounting professionals to stretch their salaries further compared to other states. Housing and taxes are roughly 15-20% below the national average.
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Sioux Falls and Rapid City offer the most abundant job opportunities, but openings can also be found in smaller communities. Remote work is on the rise as well.
In summary, accounting is a promising career path in South Dakota. Professionals can earn competitive salaries while taking advantage of affordability and high quality of life. As businesses grow amidst the state's pro-business environment, demand for accounting talent will likely continue rising.
